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Tag: initiation fees

Initiation Fees and Revenue Recognition

Membership in a club is comprised of a series of separate and distinct transactions between the club and the member during the time the individual is a member. These transactions include initiation fees, annual dues, assessments and charges for usage. The Financial Accounting Standards Board

Are Your Initiation Fees Too Low?

A marker of the value proposition in a club is the ratio of “Initiation Fee to Annual Dues.” Clubs with a relatively high ratio deliver a value proposition in which incoming members are willing to invest the equivalent of many years dues on the front